An estimated 20,000 to 25,000 Canadian home owners are currently in arrears, said Will Dunning, chief economist at the Canadian Association of Accredited Mortgage Professionals (CAAMP), in a report released Monday.
This means about 0.3 per cent of Canada's 8.05 million home owners are behind on their mortgages by three months or more, he said.
By contrast, arrears in Canada hit about 0.7 per cent in 1992, as the effects of the housing bubble in the late 1980s and early 1990s worked their way through the mortgage market, Mr. Dunning said.
Even if there are some job losses in Canada due to the global financial slowdown, the number of mortgages in arrears is unlikely to rise to anywhere near to the 1992 level because interest rates remain so low, Mr. Dunning said.
The closest comparison to Canadian arrears levels in the United States are 90-day mortgage delinquencies, Mr. Tal said. They are now in the 2 to 3 per cent range, meaning that about 1.5 million U.S. home owners are currently in delinquency.
The story. The US housing crisis is literally an order of magnitude larger than what we're looking at.